First-time homebuyers in Massachusetts may be eligible for up to $50000 in down payment assistance from Mass Housing.


Purchasing a home for the first time is an exciting milestone in anyone’s life. In Massachusetts, first-time homebuyers can take advantage of several benefits and programs designed to make homeownership more accessible and affordable. This article will explore the various benefits available to first-time homebuyers in Massachusetts in 2023, providing valuable information and insights to help individuals navigate the homebuying process effectively.

Understanding the Importance of Becoming a First-Time Homebuyer

Becoming a first-time homebuyer opens doors to numerous benefits and opportunities. Rather than paying rent and potentially facing rent increases, owning a home allows individuals to build equity and establish stability. Additionally, homeownership provides a sense of pride and the freedom to personalize one’s living space. Massachusetts recognizes the significance of first-time homebuyers and offers various programs to support and incentivize their purchase.

Massachusetts First-Time Home Buyer Programs

MassHousing First-Time Home Buyer Loans

MassHousing is a public agency that offers affordable home loan options for first-time homebuyers in Massachusetts. These loans come with competitive interest rates and down payment assistance programs to help individuals overcome financial barriers to homeownership.

Massachusetts Housing Partnership (MHP) ONE Mortgage

The MHP ONE Mortgage program provides first-time homebuyers with low down payment options and affordable mortgage rates. It aims to make homeownership more attainable for moderate-income households, offering fixed-rate loans with flexible terms.

Mass Save® HEAT Loan Program

The Mass Save® HEAT Loan Program assists first-time homebuyers in improving the energy efficiency of their new homes. This program offers interest-free loans for energy-efficient upgrades such as insulation, heating systems, and hot water solutions, helping homeowners save on utility costs.

Mortgage Credit Certificates (MCCs)

MCCs are federal tax credits that provide financial relief to first-time homebuyers in Massachusetts. These credits allow eligible individuals to claim a portion of their mortgage interest as a tax deduction, resulting in reduced tax liability and increased affordability.

Down Payment Assistance Programs

Massachusetts offers various down payment assistance programs specifically tailored to first-time homebuyers. These programs provide grants or forgivable loans to help cover the upfront costs associated with purchasing a home, making homeownership more accessible for those with limited savings.

Financial Benefits for First-Time Homebuyers

First-Time Homebuyer Tax Credit

Massachusetts provides a first-time homebuyer tax credit that allows eligible individuals to claim a percentage of their mortgage interest payments as a tax credit. This credit can significantly reduce the overall tax burden, providing financial relief and increasing affordability.

Mortgage Interest Deduction

First-time homebuyers in Massachusetts can benefit from the mortgage interest deduction. This deduction allows homeowners to deduct a portion of their mortgage interest from their taxable income, resulting in lower tax liability and increased disposable income.

Property Tax Exemptions

Certain Massachusetts municipalities offer property tax exemptions for first-time homebuyers. These exemptions provide relief by reducing the amount of property taxes owed, making homeownership more affordable in the long run.

Educational Resources and Counseling

Homebuyer Education Courses

To ensure first-time homebuyers are well-informed and prepared for the homebuying process, Massachusetts offers homebuyer education courses. These courses cover topics such as budgeting, mortgage options, and the responsibilities of homeownership, equipping individuals with the knowledge they need to make informed decisions.

Housing Counseling Services

First-time homebuyers can also take advantage of housing counseling services provided by nonprofit organizations and government agencies. These services offer personalized guidance and support, helping individuals navigate the complexities of the homebuying process and make informed choices.

Other Benefits and Considerations for First-Time Homebuyers

Energy-Efficient Mortgage (EEM) Programs

In addition to the Mass Save® HEAT Loan Program, Massachusetts offers Energy-Efficient Mortgage (EEM) programs. These programs provide financing options that allow first-time homebuyers to incorporate energy-efficient features into their homes, promoting sustainability and reducing long-term energy costs.

Neighborhood Stabilization Programs (NSPs)

Neighborhood Stabilization Programs aim to revitalize communities by providing affordable housing opportunities for first-time homebuyers. These programs offer incentives, such as reduced purchase prices or financial assistance, to encourage homeownership in targeted areas.

Federal Housing Administration (FHA) Loans

First-time homebuyers in Massachusetts can explore Federal Housing Administration (FHA) loans as a financing option. These loans require lower down payments and have more flexible qualification criteria, making them an attractive choice for individuals with limited savings or lower credit scores.

Homeownership Preservation and Foreclosure Prevention Programs

Massachusetts prioritizes homeownership preservation and offers foreclosure prevention programs to assist struggling homeowners. These programs provide resources, counseling, and financial assistance to help homeowners overcome financial hardships and avoid foreclosure.


As a first-time homebuyer in Massachusetts in 2023, you have access to a range of benefits and programs designed to make homeownership more achievable. From affordable loan options and down payment assistance programs to tax credits and educational resources, Massachusetts offers robust support to help individuals realize their dream of owning a home. Take advantage of these opportunities, explore the available programs, and embark on your homeownership journey with confidence.


Can I qualify as a first-time homebuyer if I previously owned a home?

Yes, in most cases, you can still qualify as a first-time homebuyer if you haven’t owned a principal residence within the past three years. However, certain programs may have specific eligibility requirements, so it’s essential to review the program guidelines.

Are there income limits to be eligible for first-time homebuyer programs in Massachusetts?

Yes, many programs have income limits based on the area’s median income. These limits vary depending on the program and household size. It’s recommended to check the specific program guidelines for income eligibility requirements.

How do I apply for down payment assistance programs in Massachusetts?

To apply for down payment assistance programs, you typically need to work with an approved lender or participating agency. They will guide you through the application process and help determine your eligibility for the program.

Can I combine multiple first-time homebuyer benefits and programs in Massachusetts?

Yes, in many cases, you can combine multiple benefits and programs to maximize the advantages available to you. However, certain restrictions and program-specific requirements may apply, so it’s advisable to consult with professionals or program administrators for guidance.

Is homeownership counseling mandatory for first-time homebuyers in Massachusetts?

While homeownership counseling is not mandatory for all programs, it is highly recommended. Homeownership counseling provides valuable education and guidance, equipping you with the knowledge and tools necessary to make informed decisions throughout the homebuying process.